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Gazprom demands Ukraine pay to re-pressure pipeline

Business Materials 12 January 2009 18:00 (UTC +04:00)

Officials at the Russian natural gas monopoly Gazprom on Monday demanded Kiev pay millions of dollars for a special delivery of natural gas needed to increase pressure in the Ukraine's pipeline system so the fuel could reach Europe, reported dpa.

"Their claim that we (Gazprom) should give them 21 million cubic metres of the gas daily (worth some 9.4 million dollars) free to get deliveries to Europe violates common sense, and our transport contract," said Sergei Kuprianov, a Gazprom spokesman.

Ukraine at the outset of Russia's natural gas emargo diverted a portion of the gas still in its pipeline system to domestic consumption and to emergency supply to Moldova and Bulgaria. The decision reduced pressure in the former Soviet republic's gas transportation network to record low levels.

Even were Russia to end the embargo and begin pumping fuel into the lines, Moscow's gas exports now could not flow onward to Europe without additional gas brought into the lines to return pressure throughout Ukraine's pipeline system to normal levels, technicians said.

Ukraine and Russia are at odds over which side should foot the bill for gas needed to raise pressure in Ukraine's pipeline system. Ukrainian officials on Sunday argued Kiev should not be held responsible for pulling gas out of the lines, since the Kremlin-imposed gas embargo violated contracts committing Russia to maintain deliveries.

"Naftogaz Ukrainy (Ukraine's natural gas monopoly) should to fill the lines use its own gas, or buy it from Gazprom or another supplier," Kurpianov said.

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